If businessowners cannot fully fund their buy-sell agreements, recommend partial funding. That is, insurance can be used to provide a down payment, with the balance of the purchase price to be paid in installments — all of which should be spelled out in the agreement. They can always go back and arrange the additional funding and amend the terms of their buy-sell plans later.

No matter which funding arrangement is adopted, however, don't wait for clients' attorneys to do their job before you do the most important part of yours. You should recommend applying for the insurance to underwrite the plan first. It's better to have the funding without the plan than to have the obligation of a plan without the funding.